Cars, vans and motorbikes are among the most expensive and valuable assets any of us will own. Operating a forecourt full of new and used vehicles comes with a lot of responsibility, as this involves safeguarding a lot of high-value items.
The nature of your dealership will often mean that financial protection is necessary for the people you work with, the products you sell and continuation of your business in general. A strong vehicle dealer’s insurance policy will generally provide comprehensive cover across all of these areas, allowing you to get on with running things without worrying to much about anything going wrong.
If an unexpected event should occur, though, you can rest easy in the knowledge that your appropriate cover will be able to handle it. Whether it’s damage to an unsold car or someone accidentally tripping over on your premises, your insurance should provide you with a safety net, allowing your business to continue uninterrupted.
As well as standard business insurance, there are several extras you may need to consider. While your operations will largely take place on your forecourt, there may be times when your vehicles are out and about on the road. For example, road insurance is necessary if you need to transport vehicles to your forecourt or if customers wish to take a car for a test drive.
Every business is different, so it’s important that every policy is customised to meet specific requirements. There will be certain levels of cover available across different areas of your business, with some mandatory and some optional types that can benefit you in the long run.
Employer’s liability insurance
If you employ at least one person in the UK, you’re legally obligated to have this cover as a bare minimum. This aims to protect the health, safety and wellbeing of your employees whilst at work. If someone is injured or becomes ill as a result of their job, they may be able to claim compensation from the business, which this liability insurance can cover.
Public liability insurance
When dealing with members of the public on your premises, you may be liable for any injuries or illnesses that result from an accident at your workplace. This type of cover can help to manage any compensation claims made against your business in case of any unexpected issues.
Buildings and/or contents insurance
From showroom furnishings to computers and desks, you’ll have lots of assets that are vital to carrying out your daily business on your premises. It’s almost impossible to tell when your building may become damaged by extreme weather or if your contents may be damaged or stolen. This cover will allow you to claim certain expenses if the worst should happen.
There are various additional insurance concerns specific to dealerships and those in the vehicles trade. Including these cover types will help to provide further protection to your business’ finances.
With multiple high-value vehicles stored on your lot, any accidental damage they take can be quite expensive to fix. As the trade costs and retail value of a vehicle – used or new – may differ greatly, you’ll want to ensure your business doesn’t end up facing a huge loss. Specific cover for garage or showroom stock can prove vital.
Road risk for goods in transit
Whether you need to drive each vehicle to your premises individually or they arrive in bulk on a car delivery truck, having road insurance in place will protect your stock in case of any accidents that occur in transit.
If a customer wants to take a vehicle out for a test drive, this will require the policyholder or a named driver to accompany them. As a minimum, you’ll also require third party cover for the vehicles or drivers involved while you’re out on public roads.
Make sure you get the right tailored insurance policy for your dealership. At Arkwright, we have the specialist knowledge to advise you and provide a suitable policy from our diverse panel of insurers, to cover all aspects of your business.
Call us on 01204 392 525 or click “Get a quote” to send us a few details about your insurance needs. From there, our brokers will work alongside you to obtain a competitive quote and secure adequate vehicle dealer’s insurance for you.